This research is to develop an analytical framework for analyzing impacts of retirement and its concomitant life changes on health status and health services use among the older population. More specifically, it will: 1. identify components of life change events occurring in the years of later life, 2. provide demographic, social, economic, and health profiles of the elderly who may have experienced different life changes, 3. study factors affecting the variation in health status and health care use for subpopulaton groups, and 4. formulate recommendations to promote coping and preventive health behavior in dealing with the adverse effect of stressful life events on health. Using panel data (1969-1973) obtained from Longitudinal Retirement History Study which conducts follow-up surveys of a panel (N equals 11,153 older adults), we will analyze the impact on health and health care of the retirement process. The multivariate analysis will be performed separately on each of the three subsamples; those who were not retired in 1969 and were retired in 1973 (N equals 3,662), whose who remained working in 1973 (N equals 2,818), and those who had been retired ever since 1969 (N equals 1,599). Based upon a multiple indicator approach, we will delineate direct and indirect effects of lagged variables on the use of health services. Multiple classfication analysis will be used to identify socio-demographic, economic, and health-related characteristics of those who were most likely to have more life changes subsequent to retirement and to use more health services. Finally, we will use a Markov Chain model to construct transition probabilities of the changes in functional capacities in order to estimate the need for care.